The world may be in the grip of a financial crisis at the moment, but that hasn't stopped OMX-listed capital fund Deltaq shelling out around DKK 54m (USD 9.7m) to snap up Danish jewellery firm Unika Design, reports financial daily newspaper Børsen.
Even in these adverse economic times, Deltaq's retains the aim of growing Unika Design's revenues over the next three years from DKK 60m (USD 10.8m) to DKK 250m (USD 45m) through international expansion. Deltaq's managing director Jesper Lacoppidan believes that Unika Design has such promise that it can easily achieve growth despite the threat of recession:
"Unika Design is currently turning over DKK 60m (USD 10.8m), of which 20% comes from abroad. There are undreamed of possibilities abroad," he says, adding that Deltaq's strong points are development of distribution systems and logistics as well as sales and marketing – exactly the competences that Unika Design needs to prosper in the Scandinavian, British and German markets.
Jesper Lacoppidan concedes that the retail sector is seeing a contraction, but doesn't think that it will adversely affect his business prospects. "While we are selling jewellery made of precious metals, they are budget-priced products. You can buy one of our rings from 125 kroner (USD 23)," he says.
The so-called "spinning rings" account for 60% of Unika Design's turnover, the remainder coming principally from ear-rings and bracelets. The company's products are on sale in over half of the country's 600 goldsmiths.